Amazon Intel stock rise/ October jobs report impact/ Wall Street gains/ U.S. stock market update/ S&P 500 earnings/ Newslooks/ NEW YORK/ J. Mansour/ Morning Edition/ Amazon and Intel’s strong performance helped U.S. stock indexes climb Friday despite a weaker-than-expected jobs report for October. With Amazon reporting robust profits and Intel offering an optimistic outlook, the S&P 500 and Dow Jones rebounded from recent losses. Exxon Mobil and Chevron also contributed to gains with better-than-forecast earnings.
Amazon, Intel Boost Wall Street Gains: Quick Looks
- Stock Market Gains: The S&P 500 rose 0.6%, Dow Jones up 276 points, Nasdaq up 0.7%.
- Corporate Earnings: Amazon shares surged 7.3%, Intel rose after a positive forecast, Exxon and Chevron also gained.
- Jobs Report Impact: U.S. added only 12,000 jobs in October; unemployment steady at 4.1%.
- Global Markets: European stocks saw moderate gains, while Asian markets showed mixed performance.
- Oil Prices: U.S. crude rose $1.61 to $70.87; Brent crude up to $74.32.
Wall Street Rises on Amazon and Intel Strength, Jobs Data Weighs
Deep Look
Wall Street saw a boost Friday as positive earnings reports from Amazon and Intel lifted the S&P 500 and Dow Jones Industrial Average. Both stocks helped the market rebound from Thursday’s losses, with the S&P 500 up 0.6% and the Nasdaq composite gaining 0.7%. Meanwhile, bond yields dropped following a jobs report showing slower-than-expected U.S. hiring in October, impacted by hurricanes and labor strikes.
Amazon shares jumped 7.3% in premarket trading after the retail giant reported $15.3 billion in third-quarter profits, far exceeding analysts’ expectations of $1.14 per share by posting $1.43 per share. Amazon’s revenue also beat projections, boosted by the success of its July Prime Day event, reinforcing its position as a leader in consumer spending. Intel also saw gains, with its stock climbing after the company projected stronger future growth than anticipated.
The jobs report from the Labor Department showed that only 12,000 new jobs were added in October, a significant drop from the 223,000 added in September. The low job numbers were attributed to the impact of Hurricanes Helene and Milton, as well as significant strikes, such as those at Boeing, which dampened the month’s overall employment data. The unemployment rate, however, held steady at 4.1%, signaling that while hiring has slowed, the labor market remains relatively stable.
Earnings reports from Exxon Mobil and Chevron provided further support to the market. Exxon saw close to a 2% increase after posting profits boosted by its recent acquisition of Pioneer Natural Resources, while Chevron rose 2.1% following stronger-than-expected third-quarter sales and earnings. Despite market fluctuations, strong performance from these energy giants helped support investor confidence amid broader economic uncertainties.
Elsewhere, global markets displayed mixed reactions. In Europe, stocks were trading higher, with France’s CAC 40 up 0.4%, Germany’s DAX gaining 0.6%, and Britain’s FTSE 100 rising 0.9%. In Asia, Japan’s Nikkei 225 fell sharply by 2.6%, impacted by the Bank of Japan’s decision to keep its benchmark interest rate unchanged, as expected. Japan’s yen also weakened against the U.S. dollar, which rose to 152.78 yen. Conversely, Hong Kong’s Hang Seng index rose 0.9%, and the Shanghai Composite in China, though initially up, slipped 0.2% by market close.
China’s October manufacturing activity showed signs of recovery, ending five consecutive months of contraction. The official manufacturing purchasing managers’ index inched up to 50.1, while a private sector survey released Friday reflected a slightly better reading of 50.3. This uptick suggests a potential rebound in China’s manufacturing sector, which had been struggling in recent months.
In Australia, the S&P/ASX 200 index dropped 0.5% after the Australian Bureau of Statistics reported a third-quarter producer price index growth of 3.9% year-on-year, marking the first drop below 4% since September 2023. South Korea’s Kospi also lost 0.5%, while Taiwan’s Taiex dropped 0.2%, affected by a 0.5% dip in Taiwan Semiconductor Manufacturing Corp., Apple’s key chip supplier.
In the oil market, prices increased, with U.S. benchmark crude oil rising $1.61 to $70.87 per barrel. Brent crude, the international standard, also saw gains, climbing $1.51 to $74.32 per barrel, indicating steady demand despite economic headwinds.
The jobs report and earnings data indicate a nuanced economic landscape as the Federal Reserve considers its next steps. With lower-than-expected job growth but a resilient stock market, investors are closely watching the Fed’s interest rate strategy in the months ahead.
